Mastering Demand Planning: Essential Rules for Precision and Adaptability
Rules to keep in mind for Demand planners (3/3)
7๏ธโฃ ๐๐ผ๐ป’๐ ๐ผ๐๐ฒ๐ฟ๐น๐ผ๐ผ๐ธ ๐น๐ฒ๐ฎ๐ฑ ๐๐ถ๐บ๐ฒ ๐๐ต๐ฒ๐ป ๐ถ๐ ๐ฐ๐ผ๐บ๐ฒ๐ ๐๐ผ ๐ถ๐ป๐๐ฒ๐ป๐๐ผ๐ฟ๐ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ๐บ๐ฒ๐ป๐.
Lead time is the time it takes for an order to be received from the supplier. So it’s important to factor in lead time when ordering inventory.
Don’t expect to find the latest designer sarees at your local market. If you wait until the day of a major festival like Diwali, it’s best to plan ahead and shop well in advance.
Don’t ignore the importance of lead time.
Lead time is the time it takes for an order to be received from the supplier. So it’s important to factor in lead time when ordering inventory.
For example, if a supplier takes 2 weeks to deliver a custom-made diamond ring:
it’s important to factor in that lead time and order accordingly to avoid stockouts.
8๏ธโฃ ๐๐ผ๐ป’๐ ๐๐ป๐ฑ๐ฒ๐ฟ๐ฒ๐๐๐ถ๐บ๐ฎ๐๐ฒ ๐๐ต๐ฒ ๐ถ๐บ๐ฝ๐ฎ๐ฐ๐ ๐ผ๐ณ ๐ฝ๐ฟ๐ผ๐บ๐ผ๐๐ถ๐ผ๐ป๐ ๐ฎ๐ป๐ฑ ๐บ๐ฎ๐ฟ๐ธ๐ฒ๐๐ถ๐ป๐ด ๐ผ๐ป ๐ฑ๐ฒ๐บ๐ฎ๐ป๐ฑ.
– Special promotions and
– marketing campaigns
can have a big impact on demand. So it’s important to factor them into demand forecasts and inventory management.
For example, don’t assume that a “buy one get one free” promotion on “fanny pack” purses won’t work. You might be surprised at the increased demand.
Another example: Running a “buy one get one free (Making charge)” promotion on gold bangles may increase the demand for that item category.
9๏ธโฃ ๐๐ผ๐ป’๐ ๐ป๐ฒ๐ด๐น๐ฒ๐ฐ๐ ๐๐ต๐ฒ ๐ฟ๐ฒ๐น๐ฎ๐๐ถ๐ผ๐ป๐๐ต๐ถ๐ฝ ๐ฏ๐ฒ๐๐๐ฒ๐ฒ๐ป ๐ถ๐ป๐๐ฒ๐ป๐๐ผ๐ฟ๐ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ๐บ๐ฒ๐ป๐ ๐ฎ๐ป๐ฑ ๐ฑ๐ฒ๐บ๐ฎ๐ป๐ฑ ๐ฝ๐น๐ฎ๐ป๐ป๐ถ๐ป๐ด.
– Inventory management and
– Demand planning
go hand in hand.
It’s important to check inventory levels and adjust demand forecasts as needed. For example, don’t let your warehouse become a “fidget spinner” fortress. Keep track of inventory levels to avoid overstocking.
Don’t ignore the role of inventory management in demand planning.
Inventory management and demand planning go hand in hand.
So it’s important to track inventory levels and adjust demand forecasts as needed. For example, if inventory levels of a particular product category are high. It would be wise to reduce the demand forecast for that product category.
๐ ๐๐ผ๐ป’๐ ๐ฏ๐ฒ ๐ฎ๐ณ๐ฟ๐ฎ๐ถ๐ฑ ๐๐ผ ๐๐ฎ๐ธ๐ฒ ๐ฎ ๐ฟ๐ถ๐๐ธ. ๐ง๐ฟ๐ ๐๐ผ๐บ๐ฒ๐๐ต๐ถ๐ป๐ด ๐ป๐ฒ๐ ๐๐ต๐ฒ๐ป ๐ถ๐ ๐ฐ๐ผ๐บ๐ฒ๐ ๐๐ผ ๐ฑ๐ฒ๐บ๐ฎ๐ป๐ฑ ๐ฝ๐น๐ฎ๐ป๐ป๐ถ๐ป๐ด ๐ฎ๐ป๐ฑ ๐ถ๐ป๐๐ฒ๐ป๐๐ผ๐ฟ๐ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ๐บ๐ฒ๐ป๐.
Sometimes, the best way to improve is to experiment and see what works best for your business.
Don’t be afraid to experiment.
Sometimes, the best way to improve inventory management is to try new things. See what works best for your business.
For example:
Test
– different promotions and
– marketing strategies
for different item categories and measuring the impact on demand.
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